Baghdad (news) .. A study prepared by a specialist in economic affairs Dargham Muhammad Ali (of the Agency news) on the need to change the currency and the deletion of zeros, and to control the flow and cost management of the cash block optimally.
The study pointed out that the trading bloc cash exporting more than (30 ) trillion Iraqi dinars to the various groups and reflected by the number of securities traded the (4) trillion banknote is the product of a long period of inflation and economic decline, in light of economic conditions and volatile financial pressure and monetary inflation that has befallen our country before.
The study showed that these blocks of cash led to the negative effects on the regularity of the commercial market, labor markets and production and living standards of citizens, it has generated distortions many structures, economic relations, among which was the Activity block cash many zeros of little value and in a manner not commensurate with the future developments in the present and the future of the Iraqi economy, which requires a solution to these conditions and offal.
and a specialist in matters economic in the study solutions, through the reform of management system currency through the structure and the deletion of zeros to control the flow and cost management of the cash block the optimal and that the trading bloc cash exporting more than (30) trillion Iraqi dinars to the various groups and reflected by the number of securities traded the (4) trillion banknote is the product of a long period of inflation and economic decline, rising, for example, the index of consumer prices base 1993 from 100 to (200000) in the middle of 2003, which means that the item that was sold for (100) are sold for dinars (200000) JD .. Thus, under such circumstances, the deterioration of the value of the currency increased the coin most of the (25) dinars to 25,000 dinars, which means that inflation is the one who added these zeros.
The study pointed out that the denomination as the current does not fit with the current economic situation and future Shortly before the outbreak of war Iran-Iraq was a class of 25 (d) Yanar equivalent to (75) dollars purchasing power of the time or the equivalent at the present time (300) thousand dinars has said inflation in the country over three decades of zeros to the currency, although this did not raise the zeros of the purchasing power of the largest group of currency is the (25) thousand dinars, which is equal to the day (21) dollars so we need today to restructure the currency.
focused specialist in economic affairs that the zeros large mean cluster of large cash in circulation of Today, nearly (30) trillion dinars, which requested the circulation of cash directly to the cost of large-counting and it takes time and the properties of space and security, in the price system is the price is the value expressed in currency and thus the structure of costs and payments Cubs, salaries and the transaction eventually become all do not fit with the country's need to the system of monetary management consistent with the restructuring of the real sector and price levels reached, the country needs to monetary system easy to handle and small groups and large reflect the cost of that structure, the real, especially , said Dargham Muhammad Ali as Maalmana that inflation means self-rising prices of cash money price on the goods and services (ie, how much money we need in exchange for package of goods and services ..
the more increase the amount of money allocated in exchange for the package itself means that there is inflation or a rise in the price of money), note that the value of money is inversely proportional with the price of money, especially if We learned that the price is the value of goods and services expressed in cash.
Since the money is anything agreed upon the community to become a broker of exchange and store of value and unit of account, the money (legal) issued by the Monetary Authority under the law and with the power of discharge of the receivables and is seen as a social institution Social Institution increase efficiency of the economy and economic ventures in moving exchange efficiency of the institution of social or money, and vice versa, has led inflation continued to rise in number currency of (23) billion dinars in 1991 to about (30) trillion dinars at the present time, high top class currency of (25) dinars to 25,000 dinars over time.
" said a specialist in economic affairs that the fee inflation numbers of new currency in circulation by adding three zeros, which increased the amount of cash operations in nominal and arranged the production costs of large quantities of them were accompanied by operations, storage, and distribution of the promise and the counting and checking escort and the levels have doubled, helped the growing operational risk and under accompanying instability.
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